COLUMBUS, Ohio (4/18/14)--While Ohio credit unions are doing an "amazing" job in serving their memberships, they must market better to sell their "beautiful, powerful idea," Ohio Credit Union League President Paul Mercer told the annual Invest 48 audience last week.
Mercer noted that Ohio credit unions had gained less than 2% market share in the state in 19 years, to 7.6% in 2013 from 5.9% in 1994 (eLumination April 16). "That's not good enough," Mercer said. The cooperative credit union model is an ideal fit for consumers, communities and small businesses, he noted. "You are places where people do matter more than money, and when people understand that, we will win more market share," he added.
A briefing with State Rep. Lou Terhar (R-Cincinnati), co-sponsor of House Bill 221, which would give credit unions authority to serve as public depositories and access loan programs through the Ohio Treasurer's office, was attended by more than 80 credit union representatives. In subsequent meetings with legislators, credit union officials urged lawmakers to support the legislation. Many legislators said they supported credit unions and would vote for the bill. Others expressed reservations, which provides league staff an opportunity to follow up.
Ohio Department of Commerce Director Andre Porter outlined three major concerns for credit unions to navigate in today's economic environment. First, credit unions must continue to plan and manage the risk associated with their changing loan portfolios. Porter also encouraged credit unions to find more ways to participate in today's digital age. He also said that succession planning is critical to keeping the industry strong in the long term. As a regulator, Porter pledged that his department is "here to help with these challenges."
Changes to the OCUL's board structure and code of regulations were approved by affiliated credit unions at the league's annual meeting. Thirty-three percent of eligible credit unions voted, and 95% favored the changes, which take effect Jan. 1. The key changes included: